This study is a multi-hospital collaborative project for a controlled evaluation of the effect of intensive psychotherapy with newly hospitalized non-chronic schizophrenic patients. Collaborating hospitals are: Boston University psychiatric units; the Illinois State Psychiatric Institute; the New York State Psychiatric Institute and Hospital; and the McLean Hospital. All consenting schizophrenic patients who meet the specified selection criteria will be assigned to the usual psychiatric treatment program provided by each hospital which includes expert psychopharmacological treatment. In addition, half of the patients at each center will be randomly assigned to intensive psychotherapy with experienced therapists. Baseline measures will be given on admission to the study prior to treatment assignment and repeated throughout two years of treatment. A variety of outcome measures will be rated blindly insofar as possible. These measures will be related to frequency of treatment, the type and degree of treatment involvement, and background characteristics of the patients and therapists. Particular attention will be paid to those factors which might be especially responsive to individual psychotherapy -- cognitive, emotional, and interpersonal. Hospital by treatment by time by prognosis analysis of variance and co-variance and cluster analytic development of the nature of the measures will be used. About 80 patients in each treatment condition will be included. Within-group analysis of the treatment processes from tape recorded interviews will be done.